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About Capital journal. (Salem, Or.) 1919-1980 | View Entire Issue (Oct. 20, 1933)
Circulation Oally Rvertige dlBtrlbu tloa for the Month oJ September, 1033 9.956 Average dully net paid 9479 Member Audit Bureau of Circulation Journal City Edition Fair tonight, Saturday and Sunday. Frost In west portions. Moder ate northerly wind. Local: Max 62, mln. 38, rain .20, river -3 2 ft. Clear, southwest erly wind. 45th YEAR, No. 250 Entered as second class matter at Salem, Oregon SALEM, OREGON; FKIDAY, OCTOBER 20, 1933 PRICE THREE CENTS ON TRAINS AND NBWI STANDS F1VS CKNTS timqn o i n CaoitaLlI wi oooua nun WI DO OUR MM A I r fill II r II 1 f i III u lhalhj u uuu no WHISKEY POOL TO SKYROCKET STOCKPRICES Alleged Operations To Boom Alcohol Secur ities To Be Probed Whitney Furnishes Data On Share Accounts of 99 Exchange Members (Copyright 1933 by United Press) Washington, Oct. 20 (LP) Alleged operation of a "whikey pool" to sky rocket alcohol stocks on the New York stock exchange was' revealed today to be under investigation by the senate stock market committee. Ferdinand P e c o r a, committee counsel, has been furnished a report on examination of the alcohol share accounts of at least 99 members of the stock exchange by Richard Whitney, president of the exchange. Whether charges of pool activities were borne out was not disclosed, The whiskey boom began last spring and continued until July of this year and its investigation was revealed In connection with the committee's dispute with Whitney regarding data on stock exchange transactions from October 1, 1929 to July 1. 1933. Whitney refused to cir culate a questionnaire which -would give the public the first complete Information ever available on who and how many persons are gambl ing, speculating or trading and for (Concluded on paBe 9, column 4) MINERS' WIVES Springfield, Oct. 20 (P) Teeming with thousands of dissatisfied mem bers of the Progressive Miners Un ion. SDrinKfleld today became the object of a concerted march of their women folk. Mrs. Agnes Wleck of Belleville, HI., president of the 85 progressive auxiliaries, said the women in num bers of upwards of 10,000 would Join the men In picketing mines of the Pcabody Coal company. Meanwhile, national guardsmen stood In readiness to quell any fac- tlonal outbreaks between the pro. gressives and United .Mine Work ers union, whose men are employed In the mines. Yesterday a street brawl resulted in the death of a pro gressive and the arrest of a United member. Demanding recognition for the union, Claude Pearcy, president of progressives, said he lanea to see where a report by Donald Rlchberg, general NRA counsel, had clarified the situation. MANY BULL ELK VICTIMS OF GUNS Aberdeen, Wash., Oct. 20 (IP) At least 25 bull elk were killed by hunt ers during the first day of the first open season In 20 years on the Ol ympic peninsula, game protectors estimated today. The four-day season opened yes terday and hundreds of hunters were in the woods. The majority oi the kills were made near Lake Quia ault. Special deputies aided wardens in patrolling highways and logging roads to enforce regulations. WIGGIN ON MORGAN BARGAIN SALE LIST Washington. Oct. 20 (IP) Albert 'B. Wlggin, former head of the Chase National bank, was revealed today to have been on one of J. P. Morgan and company "barkain stock" lists. Be was given the opportunity on February 21, 1929 to buy 20,000 shares of Alleghany corporation at (20 when the quoted price was per share. BULL STAMPEDES vAT QUEEN MARY Pakenham, Norfolk, Eng., Oct. 20 UP) A young bull, frightened by the traffic, today rushed into a sraau shop where QUeeu Mary was in meeting goods. V The animal was within a few feet of her majesty when a clerk dashed to the rescue and drove It outside. The Princess Royal and her ladles-in-walting were with the Queen, who was much amused at the Incident and continued uer chopping. Good Evening! Sips for Supper By DON UPJOHN With the "Buy Now" campaign getting under way we hope enough people will buy products of farmers at a price so the farmers can buy now, also. GAME TO THE LAST Northampton, Mass., (U) Twice during his own wedding ceremony Alexander P. Cole of Calskill, N. Y., fainted. After the first collapse his best man whispered encouragingly, Buck up, old man, It'll be over soon. Cole rallied out betore tne ceremony was concluded he faint ed again. This time he was as sisted to the ante room of St. Mary's church and revived by his prospec tive mother-in-law. He tpen re turned to his bride, who was waiting at the altar and the ceremony fin ished. We thought the gink relerred to in the foregoing dispatch had given about aa remarkable a showing of gameness as any we'd ever heard about. Until we picked up the Jef ferson Review this morning and read the following: T. A. Cooper was in the office Saturday afternoon to renew his subscription to the Review for the 41st consecutive year. Mr. Cooper started taking the Review in 1893, when "Tip" Humphrey was editing the paper, and probably has taken the paper for more years than any subscriber on our list at present." We guess we'll have to give the palm to Mr. Cooper for being able to stage comebacks. The Orcgonian this morning quotes the following old nursery rhyme: If all the world were apple pie. And all the sea were ink, And all the trees were bread and cheese, What would we have to drink. We -think the big paper is failing to give old three point two a break, Joe Baxter, the dahlia man. has a couple of dahlia blooms on exhi bition In the Journal office win dow, samples of the dahlias which took first place at the Portland show. They're worth riding in long way to see. We'd like to take one of them down to the Oregon Packing plant one of these days to see if Percy Blundcll has a pump kin on hand as big as that dahlia bloom. A couple of girls swam out to Al- catraz Island in Frisco bay just to show It wasn't so hot as a place for a federal prison. Just the same we wouldn't mind seeing "Machine Gun" Kelly dumped into the bay with his hands tied behind him, maybe. SHOOT TO KILL AUSTRIAN NAZIS Vienna, Oct. 20 W) Orders to shoot to kill Nazi demonstrators were issued tdoay to the police of Dornbirn In the Vorarlberg district to Impress the populace with the seriousness of the situation. The federal police commissary warned the Dornbirn populace that henceforth any one refusing to halt when ordered to do so by the police will be fired on. In the recent revival of Nazi ac tivity there has been a tendency shown by the population of some towns in styria. vorariperg ana Carlnthia to enjoy the demonstra tions rather than movent them. In the Styrlan town of Welz, where streets, houses and billboards suddenly blossomed with swastika (Nazi) emblems overnight, Former Burgomaster Reltofe and his wife were forced by gendarmes to scrape them off. Nevertheless the hoisting of Nazi flags from factory chimneys and decorating whole trains with swas tikas has continued. Cost To Consumer For Farm Aid Program Over Half A Billion Washington, Oct. 20 (P) American consumers will be called on to shoulder a tax load of more than one billion dol lars to finance the administration's program for a gigantic retreat in farm production, pon-w cies of farm adjustment officials hinge from collectin such a sum during a period of slightly more than two years, counting from last July 9, when processing tax No. 1 was levied on wheat, until Novem ber 4, 1935, when the hog and corn processing levies are scheduled to terminate. Most of the proceeds which may be greatly augmented by compen satory taxes on competing products, are scheduled to find their way Into the pockctbooks of American farm ers, reputedly thin and thinning for the last dscade. The principal consideration will MORGAN FINDS RECOVERY ON VAY IN BRITAIN Banker Says He Doesn't Know What New Bank ing Laws Mean Refuses To Express Him self on NRA Silent On Germany New York, Qct. 20 () J. P. Mor gan, Americas most noted banker. was In a quandary about the new banking laws as he returned on the Berengaria today from a so journ of three months in Europe. "It Is the business of banks to obey the law," he said, "but I don't know yet what that means." Morgan's interview was the first he ever granted to ship news re porters. He talked enthusiastically about improvement in England but de clined to comment on the NRA or anything that had been going on In his own country. "Don't you see," he said, "I want to get the feel of the water and talk to those who do know what's going on." Do vou feel." he was asked, "tnat private bankers will have to con- "(Concluded on page 9, column 6) HITLER AWAITS LEAGUE'S REPLY Berlin, Oct. 20 (IP) Chancellor Adolf Hitler today awaited receipt by the league of nations ol uerm any's announcement of withdrawal before publishing its text, Confirming his drastic decision to withdraw from European councils on the ground that Germany was being treated unfairly, tne nazi chancellor speeded up the campaign to Insure a big vote in the election and plebiscite November 12. None but nazis may run for office, and the answer to the question of approving the government's decision was expected to be an almost unan imous "yes." Ten million copies of the first election pamphlet will be Issued Tuesday. The pamphlet is headed "The 'No' at Geneva." Sub-headings are: "Germany's Peaceful Way," "Rupture of Disarmament Talks by the Victors," and "World Re-armament." Ballots for the plebcscite bear the question: "Do you, German, man, do you, German woman, sanction the policies of your reichs government? Are you prepared to recognize it as an expression of your comprehen sion and your will? Do you solemnly espouse It?" SEEKING TO FORCE ACTION ON BRIDGES Astoria, Ore., Oct. 20 (P) The discussion of direct methods to urge allocation of public works money for construction of five bridges on the Oregon Coast hghway wos ex pected to be the dominant business at the semi-annual meeting of the Oregon Coast Highway association here tonight. The meeting will conclude Saturday. Several hundred representatives of communities from British Colum bia to San Francisco were expected to attend. Consideration of next year's program of the association will be undertaken Saturday. be that farmers forego planting as much as In the past. The first to see the color of the government's benefit checks cotton farmers got them for plowing up from 25 to 50 per cent of Ineir crop. A substantial portion of the con sumcr's contribution will go to re moving surpluses, particularly in Joint purchases by the farm and re lief administrations of surplus crops for the needy. Today's status of processing taxes levies: A $348,000,000 processing tax on hogs and one with estimated re ConcEdST on pg't-,cblumn 8) Locate New Portion Lindy Ransom Coin Washington, Oct. 20 (ff) Justice department officials today declined to comment on reports that a new portion of the Lindbergh ransom money had been discovered. Such reticence is customary in cases of the kind, officials feeling that to give out details as they de veloped hinders them in their ef forts to apprehend the criminals for whom they are searching. STRIKE A SLAP AT SECRETARY Washington, Oct. 20 (LP) Secre tary of Agriculture Henry A. Wal lace is viewing the threatened farm strike and other indications of un rest in the agricultural plains states with concern and the deepest of sympathy, it was learned today. The farm strike was called imme diately after Wallace announced his greatest agricultural recovery pro gram, the $350,000,000 corn-hog re duction plan, directly affecting most of those farmers threatening a strike of passive resistance. . In announcing the program, Wal lace said his sympathies all were with the farmer who is beset by low prices for his own products and high prices for the things he must buy. Despite his sympathy for the plight of the farmers, Wallace said he sometimes disagreed with the me thods of their leaders. He referred particularly to the wheat embargo ordered by Governor William Langer of North Dakota. Wallace and other high officials of the farm administration, mean time, kept busy with their multitu dinous plans for farm relief, finding no time for public comment upon the farm strike situation. The threa tened strike recalled the fact that farm holiday leaders called upon George N. Peek, administrator of the agricultural adjustment administra tion, about a month ago, demanding that agriculture be placed under a blue eagle code. Peek accepted their petition, but gave them no encour agement. Since then he has not mentioned a general agricultural code. LINDY REPORT NOT DEFINITE London. Oct. 20 (P) Prospects of a North Atlantic air line via Green land next year faded today as Brit ish aviation experts discussed the results of Colonel Charles A. Lind bergh's Arctic survey as disclosed to them by the American airman. From their conversations with the pilot, now on a visit here with his wife, the experts have reached the conclusion that Lindbergh's summer survey led to his forming the opin ion that summer service offers no difficulties which could not be over, come. The idea of winter service, how ever, is considered out of the ques tion for the present and there would need be a test of winter flying be fore a definite conclusion on this point could be reached. However, the telegraph s commen tator reported today, Lindbergh "is manifestly in no way perturbed in respect to Arctic storms or fogs or provision of suitable landing places." The Times' commentator said "a winter flight along the route may be expected to follow Lindbergh's summer survey and no one can fore cast its result. "The flight which has just ended Is a step in the right direction, al though establishment of regular ser vice by any route may have to wait a number of other experiments." $600,000 BONUS BONDS PURCHASED With only two offers tendered and with no bids submitted by Port land banks the state bonus com mission this morning sold a $600,000 block of bonds on a 5.125 basis, in dicating some strengthening in the eastern market for Oregon bonds. The successful bidders were Stone, Webster 6t Blodget of Chicago, and the only other tender was that of a New York bond house. Proceeds of the bond sale will be utilized for the retirement of $850,000 in bonus bonds due Novem ber 1, the balance to be paid In cash. $5 MILLIONS MORE FOR PWA PROJECTS Washington, Oct. 20 (P) The pub lie works administration today al loted $5,243,378 for 44 non-federal construction projects In 21 states which officials said would provide 33,807 man-months of quick, direct employment. E FARM STRIKE TOBECALLED Noon Saturday Set by National Farm Holiday Association Demand Federal Aid To Receive Cost of Pro duction on Products St. Paul, Oct. 20 CP) A new agri cultural "farm war" burst forth to day in the calling of a nationwide strike by the National Farmers Hol iday association. The strike proclamation, setting noon Saturday as the hour when farmers again will begin to with hold their products from market, sharply criticized the national ad ministration, listed many grievances and outlined the course to be pur sued. The decision to protest actively against low prices for agricultural products was reached at a secret conference yesterday of officials of the Holiday association which says it has 2,000,000 members in 24 states. The proclamation stated that "af ter months of patient waiting," farmers were "fast losing confidence in the administration", in its pro gram to provide agricultural relief. But despite the criticism directed at the administration, the farmers said they still stand ready to sup port it in "any program that will ("Concluded on pike" 9, coiurnn4) FARMERS STRIKE Lincoln, Neb., Oct. 20 (P) Gov ernor Charles W. Bryan today up held the principles of the farmers strike for higher prices as equally justifiable with the natonal ad ministration's attempt to confine buying to blue eagle signers, but said he could not approve any phy sical Interference with commerce, "I do not believe the farmers could be criticized," Bryan said in an Interview, "for withholding grain from the market in order to get better prices any more than the recommendations from Washington that the public should confine their buying only to those who signed the NRA. "I could not apprve any physl cal interference with those mov ing their crops to market, who de sire to and nope no sucn plan : contemplated or will be attempted Bryan explained he had not been advised of what form the strike will take, or what plans have been made to carry it into enect. "I am deeply sympathetic wun the farmers of the entire agricul tural section of the United States, who are demanding relief," he said, "and who will Insist upon rellei from the Intolerable conditions from which they are now suffering." MEXICAN TROOPS PATROL CAPITAL Mexico City, Oct. 20 (IP) Heavy troop movements to two. states, and strong military patrols In outlying portions of the capttol, caused ex citement and anxiety today. Though no explanation came from the government, it was understood the movements had no connection with student rlota earlier this week A mob of ?00 persons said to be communists stoned the residence of .Japanese Minister Yoshlatsu Hon shouting "Down with war." Some windows were broken. It was be lieved to be in protest against Japan's far eastern policy, partlc- u any as it concerns soviet Kussia. The senate late last night passed a bill giving autonomy to the Na tional university. The measure DC came law at once. FRENCH TO LOAN JAPS A BILLION Toklo, Oct. 21 (Saturday) (IP) The newspaper Nippon Dempo today printed a dispatch from Hal n king saying the Japanese -Man churlan- French provisional investment agree ment will be signed at Dairen next week. The amount, It was said, was tin decided, but likely to be one or two billion francs. The investment cov ers banking, electric, gas, commun lcatlons and public works undertak ings. Great secrecy has surrounded the reported agreement. French bankers and officials In the ministry have continually deprecated reports of negotiations. Roosevelt Speaks On Seriousness Of Foreign Bond Crisis Washington, Oct. 20 (U.R) The White House, in a state ment issued today after President Roosevelt had conferred with a committee established to aid holders of defaulted for eign bonds, said that "The situation now existing in regard to foreign securities is one of sub- stantial concern to the American people." The White House pointed out that the task of adequate organization was one primarily for private ini tiative and interest, adding "it would not be wise for the govern ment to undertake directly the set tlement of private debt situations." Secretary of State Hull attended the meeting in the treasury at which the committee was set up. He said the discussion assured a high class private organization which would have the cooperation of government agencies. The committee took the name of the American securities Protective association. The White House statement in full follows: "The situation now existing In regard to foreign securities is one of ConciudeaonTpng8, column 7) PEEK TO SPEED AID TO FARMERS Washington, Oct. 20 (U Agricul tural Adjustment Administrator Peek, discussing the farm strike to day, indicated that the AAA is pressing study of vigorous plans to speed financial aid to American farmers. All these people are trying to do is to save their homes." said Peek. "I too would fight to hold my home. "We have been warning the East for 12 years that things like this would happen unless the incomes of the farmers were increased." It was understood that the plans being studied included the possi bility of making loans to wheat farmers on their crops, of extending credit in other ways, of helping the farmer to handle his beef produc tion and to speed the machinery to get to the farmers their checks for participation In the wheat, corn, and hog production plans already announced. "We havo been fighting to raise farm prices and also to hold down supplies, so as to support higher prices and bring permanent recov ery rather than merely invite new surpluses and new disaster," Peek explained. "We are moving with varying plans as rapidly as It is humanly possible. But it should be recalled that the depression did not corned overnight. Complete and aubstan- tial recovery cannot be bought by the waving of a magic wand," he said. PRINCIPALS HOLD ANNUAL MEETING More than 100 high school prin cipals from over the state were in attendance today at the opening of the two-day conference at the capt tol with Charles A. Howard, super intendent of public Instruction. Speakers during the morning In addition to Howard were Clyde H, Beard of Roscburg, Fred D. Wolf of Salem and Rex Putnam of Al bany. The busncss session will get under way during the afternoon with the conference dinner set for tonight. Officers of the association are Rex Putnam, president; E. D. Tow- lcr of Astoria, vice president, and R. W. Tavenncr of Salem, secre tary-treasurer. W. E. Kratt of North Powder and John C. John son of Lapinc arc additional mem bers on the executive committee. Truckers To Operate On Temporary Permits Until Legislature Acts Bv a compromise aprreemcnt with State Utilities Com miBsioncr C. M. Thomas here permitted to operate under a make mileage payments every 30 w days, pending action by the special session of the legislature, Thomas addressed members of the Truck Owners and Farmers Protective association last night, after which a committee of truck ers held a three-hour conference with the commissioner before agree ment was reached. Under the emergency measure, every truck driver, whether he came under the contract carrier provision before or not, may take advantage of the $10 fee and mon thly mileage payment plan. Trio emergency mcasuro In full reads: WALLOWA BANK ROBBERS TAKEN La Grande, Ore., Oct. 20 P) Two men who are alleged to have held up and robbed the Stockgrowers and Farmers National bank of Wal lowa Monday noon, were reported today to have been captured in northeastern Wallowa county. All the loot, including $2500 in cash, $1500 In securities of bank property. and $15,000 in bonds and warrants belonging to Individuals and stores, was recovered, officers reported. The two men, tentatively identi fied as James Cook and James Dushane, both about 35, were taken to the Wallowa county jail at En terprise. Capture was about 12:30 o'clock this morning. Meagre reports here were to the effect that the two suspects were captured by Officer McGlnis, of Wallowa county, between Flora and Troy in a mountainous section. They are said to have left their car, which offcers say was stolen from Glen Simms of Ukiah, Ore., hidden in the brush behind them. The Wallowa bank was robbed of approximately $2500 when two men held up Florence Moffitt, bookkeeper, and O. T. McDaniel, cashier, and forced the latter to open the vault. Three patrons who entered the bank during the half an hour the bandits were at work, were made prisoners temporarily. The two men overlooked approx imately as much money as they cscaDcd with. The capture was made in the mountains about 30 miles north of Enterprise. The men were nearly starved and appeared at the home of a rancher to ask for food, police said. They gave themselves up to tne rancher, according to Sheriff Miller who went to Troy to take them in custody. RIVER MONIES Whether a proposed $300,000 im provement of the Willamette river by construction of a series of dikes at federal expense from Newberg up this way, has been lost in the shuffle, whether it was swallowed up and put in the discard when the general canalization scheme was abandoned, or whether it Is still in the cards to be put over as port of the public works administration, Is to be found out by United States Senator McNary. He said he would look into the matter after he held a conference with county court members yesterday. The county court had been ad vised by an army engineer in Port land that money had been set aside for the work and the engineers were merely awaiting word from Washington to go ahead. Senator McNary told court members he be lieved that the army engineer was mistaken and that when the canall zation plan was turned down the whole work went by the boards, as he believed the plan for diking and flood control was swallowed up In the canalization scheme. However, he said he might be mistaken as he has had so many matters of this nature to look after some of the details might have es caped him and he would have his office in Washington make an in vestigation at once. last night, nil truckers will be $10 contract carrier lee and 'Application to be filed by con tract carrier permit only, accompan led with (10. "A temporary permit will be Is- sued for a period from present date to expiration of the special session of the legislature, called for November 20: such temporary per mit to be enforced for not more than 60 days from October 20, 1033. It is understood and agreed tha fees for mileage during period of operation under this temporary permit." In his opening speech Thcmas told truckers that ho and super- (Concluded on puge 0, column 7) OPENS WAY AT LATER DATETO REHIOIl xchange of Correspon dence Made Public by Roosevelt irst Move Toward Dip lomatic Dealings With' Soviet State Washington, Oct. 20 . WP) Prcsf- dent Roosevelt today announced ho has invited a representative of tne unrecognized Soviet government to confer with him a move believed leading toward recognition of thai government. Mikhail Kalinin, president of tne Soviet republic, has accepted the Roosevelt invitation. He is sending M. Lltvinov, tha commissar for foreign affairs, to Washington. President Roosevelt personally will conduct the negotiations witn Lltvinov. It was emphasized at the Whit House as the president made the- announcement, that this act in it self does not constitute recognition of tho communist government. Mr. Roosevelt personally read nil letter dated October 10 to the So viet president and the latter's reply dated October 11 to newspapermen (Concluded" on ptig". 7, column 0J. BAILEY FOUND GUILTY BY JURY Dallas, -Ore., Oct. 20 Dayton Bail ey, charged with statuatory rape, was found guilty when the Jury re turned at 8:30 o'clock Thursday night after deliberating for 32 hours. Bailey was brought here from Ok lahoma to stand trial. This was his second trial, the first resulting In hung Jury after 21 hours. Ed Forrette's case, which got un der way with the end of the Bailey proceedings, went to the jury al 10:45 o'clock Friday morning with the Jury returning an hour later for further Instructions. It had not re turned a verdict early in the after noon. Forrette is charged with con- trlbutlng to the delinquency of a minor. The trial of Ted Bailey, on a similar charge, got under way Friday. The Dayton Bailey verdict was one of the longest awaited In the history of Polk county court procedure, ac cording to Sheriff T. B. Hookei. It's length is exceeded only by tne w hour record established in the Phil lip Warren murder trial a number of years ago when Judge Harry H, Belt, now a member of the state suprcra court, was on the bench. SOLDIERS DESERT AUSTRIAN ARMY Vienna, Oct. 20 (P) The eecrctly clrculatcd socialist organ "Wahr heit" said today that approximately one-tenth of Austria's army more than seven battalions has deserted and gone to Germany. These soldiers which. It asserted actually arc on German soil do not include the nazl army wltnin tnie side of the border and the troops between them In the so-called "barbed-wire border." The latter line strcches as harm less as any pasture fence with an average of 12 men, mostly green auxiliary guards recruited from tho Hcimwehr (homo guard), protect ing each 20 kilometer stretch (about 1214 miles). The poper cites recent Instances of Austrian officers assigned to border duty Immediately seizing the opportunity to cross Into Germnay, If the Wahrhelt's figures are cor rect, this means that Germany which In the last six months alleg edly has been threatening to invade Austria meanwhile has been "In vaded" by seven battalions of Aus trian soldiers and at least 20,000 civilian Austria Nazis. Tills flguro does not Include Chonccllor Adolf Hitler, who him self crossed Into Germany some years ago. FEDERAL RESERVE RATES REDUCED Washington, Oct. 20 (IP) The fed eral reserve banks of Chicago ami Cleveland have reduced their redis count rates from three to two and one-half per cent the federal re serve board announced today. The reserve bank of New York yesterday cut its rato from 2 W two per cent.